Brazil’s National Congress Nears Year-End Deadline with Key Votes on Tax Breaks, Indigenous Rights, and Banking Scandals

• Tax Relief for Classic Cars Nationwide
• Public Safety Overhaul Sparks Institutional Tensions
• Education Funding Battles Heat Up
• Ride-Hailing Regulations Reach Critical Vote
• Banco Master Scandal Dominates Financial Agenda
• Senate Showdown Over Indigenous Land Rights
• Ethics Committee Targets Controversial Lawmakers
• Frequently Asked Questions

As Brazil's legislative year barrels toward its December close, the National Congress is racing against the clock to pass major proposals including historic vehicle tax exemptions, controversial indigenous land demarcations, and reforms sparked by the Banco Master financial scandal. With multiple constitutional amendments and policy overhauls on the table, lawmakers are packing their final weeks with marathon sessions that could reshape everything from education funding to gig worker protections.

Tax Relief for Classic Cars Nationwide

In what's being hailed as a victory for low-income drivers, Congress will formally enact PEC 72/23 on Tuesday - a constitutional amendment granting permanent IPVA tax exemption for vehicles over 20 years old. This standardizes a patchwork of state-level policies, creating a uniform national benefit that particularly helps working-class families maintain aging transportation. "My 1998 Fiat Uno has outlasted three presidents," joked mechanic Carlos Albuquerque, who stands to save R$800 annually. The measure comes as Brazil's vehicle fleet ages, with over 12 million cars now qualifying for the exemption.

Public Safety Overhaul Sparks Institutional Tensions

A heated debate surrounds PEC 18/25, which WOULD restructure Brazil's public security framework. Relator Mendonça Filho (União-PE) has proposed stripping the National Justice Council (CNJ) of rulemaking authority over congressional security policies, while converting the National Public Security Council into an advisory body rather than decision-making entity. The changes come amid record homicide rates in northeastern states, though critics argue they concentrate too much power in the Justice Ministry.

Education Funding Battles Heat Up

Two landmark education proposals are advancing simultaneously: PL 2531/21 would establish a national minimum wage (75% of teacher salaries) for school support staff like cafeteria workers and custodians, while PL 2614/24 outlines Brazil's decennial National Education Plan through 2034. Education unions have mobilized heavily for both measures, though state governors warn of unfunded mandates. "We can't educate Brazil's future on the cheap," argued Deputy Danilo Forte during committee hearings marked by teacher protests.

Ride-Hailing Regulations Reach Critical Vote

After years of legal limbo, PLP 152/25 would establish Brazil's first comprehensive framework for app-based drivers and delivery workers. The proposal mandates minimum hourly rates, connection time limits, and written contracts between platforms and workers. Uber and iFood have lobbied aggressively against certain provisions, while driver associations argue the rules don't go far enough. "We're not algorithms - we're humans who need bathroom breaks," testified São Paulo driver Maria Santos during emotional public hearings.

Banco Master Scandal Dominates Financial Agenda

Tuesday's joint committee hearing will scrutinize the R$12 billion Banco Master collapse and its entanglement with Rio de Janeiro's pension fund. With BCB President Gabriel Galípolo scheduled to testify alongside fraud investigators, the session promises fireworks. Parallel discussions will examine consumer protections for account holders caught in the bank's liquidation - a crisis affecting over 200,000 clients. Observers note the timing couldn't be worse, coming during year-end financial planning season.

Senate Showdown Over Indigenous Land Rights

All eyes turn to the Senate's pending vote on PEC 48/23, which would establish October 5, 1988 (Brazil's Constitution date) as the cutoff for recognizing indigenous territories. The controversial "marco temporal" proposal has drawn protests from Amazon tribes and praise from agribusiness interests. Senator Esperidião Amin's favorable report sets up a potential clash with the Supreme Court, which begins its own review December 5. Meanwhile, PEC 169/19 could allow teachers to hold multiple paid positions - a change supporters say addresses chronic understaffing in public schools.

Ethics Committee Targets Controversial Lawmakers

The Ethics Council convenes Tuesday to hear testimony against three right-wing deputies accused of inflammatory rhetoric, while also ruling on a complaint between the Novo party and PT's Lindbergh Farias. These proceedings cap a year marked by record numbers of ethics complaints, reflecting Brazil's increasingly polarized political climate.

Frequently Asked Questions

What exactly does the IPVA exemption for older vehicles entail?

The constitutional amendment permanently exempts vehicles aged 20+ years from Brazil's annual Vehicle Property Tax (IPVA), with standardization across all states. Previously, some states like São Paulo already offered partial exemptions.

How would the marco temporal affect indigenous land claims?

PEC 48/23 would require tribes to prove they physically occupied territory as of October 5, 1988 to claim land rights - a standard many anthropologists argue ignores historical displacement patterns and nomadic traditions.

What protections exist for Banco Master account holders?

Brazil's Credit Guarantee Fund covers up to R$250,000 per CPF, but the liquidation process could take years. Tuesday's hearings will explore potential emergency measures for affected retirees and small businesses.